The Study Of Industrial Structure Adjustment And Economic Growth Of Hebei Province

Rational industrial structure of the economy has played a role in promoting growth, andeconomic growth can increase per capita income, thereby causing an increase in people’sneeds, and then industrial structure will change again. Hebei is a tradional agriculturalprovince in China, however, with the acceleration of the process and pace of reform andopening up, Hebei’s economy has huge development, and industry in Hebei graduallyoccupies a pivotal position in the economy. Development of Hebei’s economy is also in theeconomic development of the eastlregion plays an important role. Currently, HebeiProvince,on the relationship between the industrial structure adjustment and economic growth hasremained mostly qualitative research stage and quantitative research is more meaningful. Sothis paper will have a qualitative and quantitative research from an empirical perspective,combining theory and data.This paper summarized the domestic and foreign literature. Starting with the theoreticalanalysis of Hebei industrial structure and economic growth, it use Augmented Dickey-Fullerunit root test to test stationary on GDP、industrial structure and labor structure, build VARmodel, have co-integration test and error correction model to test and validate the relationshipbetween Hebei industrial structure adjustment and economic growth based on VAR model,and use the impulse response function to analyze the economic growth’s response to outputand employment structure shock and output and employment structures response to GDPshock, finally use variance decomposition to value different importance among differentstructure shock. Finally, the paper comes into conclusion: changes in industrial andemployment structure will have a active affection on economic growth. For Hebei which needmore industrial development, secondary industry plays an important role yet. As the rapiddevelopment of tertiary industry, the action that secondary industry in Hebei economicdevelopment gradually weakens, however, low degree of industrialization also reflects thesituation of irrational industrial structure in Hebei. After the conclusion, this paper presentssome policies and recommendations from the aspects of agricultural development, promotionof the industrialization process and the efforts to expand the scale of the tertiary industry.Whatare innovative in the thesis lie inbuild VAR modelon the raltionship of Hebei industrialstructure and economic growth.